Nigeria’s Securities and Exchange Commission (SEC Nigeria) has issued a public warning against Crypto Bridge Exchange (CBEX), operating under the corporate identity of ST Technologies International Ltd, also known as Smart Treasure/Super Technology. This development comes after reports emerged that CBEX has resumed operations across Nigeria, demanding withdrawal fees from its subscribers.
CBEX, allegedly a Ponzi scheme, has resurfaced, tricking unsuspecting members of the public again. Here’s what’s happening. After abruptly shutting down in April and vanishing with hundreds of thousands of dollars belonging to Nigerian investors, CBEX has resumed operations across the country. The illegal platform is now demanding withdrawal fees from its subscribers, ranging from $100 to $200, depending on their account balances. Investors with balances above $1,000 are being asked to pay $200, while those with lower balances are required to pay $100.
SEC Nigeria’s Warning
SEC Nigeria has reiterated that CBEX is not registered with the Commission and is not authorized to offer investment-related services to the Nigerian public. According to SEC Nigeria’s statement, “Neither CBEX nor ST Technologies International Ltd (or Smart Treasure/Super Technology) is registered with the Commission or authorized to offer investment-related services to the Nigerian public.”
SEC Nigeria has warned Nigerians that investing in CBEX poses a significant risk to their funds. “The Nigerian public is accordingly advised to REFRAIN from patronizing or transacting with CBEX/ST Technologies International Ltd (Smart Treasure or Super Technology) as they risk losing their funds,” the Commission stated.
CBEX was previously declared an illegal operator by SEC Nigeria, and its activities were halted due to unauthorized investment activities. The platform had promised high returns to investors but abruptly shut down in April, resulting in the loss of funds for over 600,000 Nigerians. SEC Nigeria had then initiated enforcement action against CBEX and its promoters, collaborating with law enforcement agencies to investigate the platform.
Verification of Registration Status
To protect investors, SEC Nigeria has advised the public to verify the registration status of investment platforms via its dedicated portal: (link unavailable) before transacting. This move aims to ensure that investors deal with legitimate and authorized investment platforms.
SEC Nigeria remains committed to protecting investors and maintaining market integrity. With the new Investments and Securities Act 2025, operators of Ponzi schemes like CBEX face stiff penalties, including 10-year jail terms and N40 million fines. The Commission’s warning serves as a caution to investors to be vigilant and cautious when dealing with investment platforms.
SEC’s Awareness Campaigns: Protecting Investors from Ponzi Schemes
Recently, as a response to the losses suffered by many Nigerians due to CBEX’s illegal activities, SEC Nigeria has been making efforts to raise awareness about the risks associated with Ponzi schemes in the country’s capital market. Through various campaigns and street walks, the Commission aims to educate investors and the general public on the dangers of investing in unauthorized and unregistered investment platforms.
SEC Nigeria has organized street walks and outreach programs in major cities across Nigeria, including Abuja and Lagos. During these events, SEC Nigeria officials, led by the Director-General, Dr. Emomotimi Agama, engaged with members of the public in Abuja FCT, distributing educational materials and providing information on how to identify and avoid Ponzi schemes. The Commission’s officials also use these opportunities to explain the importance of verifying the registration status of investment platforms before investing.
Also, SEC Nigeria has developed a range of educational materials, including brochures, posters, and social media content, to help investors recognize the warning signs of Ponzi schemes. These materials are disseminated through various channels, including social media, print media, and online platforms.
SEC Nigeria’s awareness campaigns and street walks demonstrate its commitment to protecting investors and promoting a safe and transparent capital market in Nigeria. By working together with other agencies and stakeholders, the Commission can help to create a more informed and vigilant investor community, better equipped to navigate the complexities of the capital market.
Read also: Why CBEX Will Happen Again in Nigeria, If Stakeholders Don’t Do Things Differently
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